Best of the Week
Most Popular
1. Will Gold Price Breakout? 3 Things to Watch… - Jordan_Roy_Byrne
2.China Invades Saudi Oil Realm: PetroDollar Kill - Jim_Willie_CB
3.Bitcoin Price Trend Forecast, Paypal FUD Fake Cryptocurrency Warning - Nadeem_Walayat
4.The Stock Market Trend is Your Friend ’til the Very End - Rambus_Chartology
5.This Isn’t Your Grandfather’s (1960s) Inflation Scare - F_F_Wiley
6.GDX Gold Mining Stocks Fundamentals - Zeal_LLC
7.US Housing Real Estate Market and Banking Pressures Are Building - Chris_Vermeulen
8.Return of Stock Market Volatility Amidst Political Chaos and Uncertain Economy - Buildadv
9.Can Bitcoin Price Rally Continue After Paypal Fake FUD Attack? - Nadeem_Walayat
10.Warning Economic Implosion on the Horizon - Chris_Vermeulen
Last 7 days
Is War "Hell" for the Stock Market? - 19th Apr 18
Palladium Bullion Surges 17% In 9 Days On Russian Supply Concerns - 19th Apr 18
Breadth Study Suggests that Stock Market Bottom is Already In - 19th Apr 18
Allegory Regarding Investment Decisions Made On Basis Of Government’s Income Statement, Balance Sheet - 19th Apr 18
Gold – A Unique Repeat of the 2007 and How to Profit - 19th Apr 18
Abbeydale Park Rise Cherry Tree's in Blossom - Sheffield Street Tree Protests - 19th Apr 18
The Stock Market “Turn of the Month Effect” Exists in 11 of 11 Countries - 18th Apr 18
Winter is Coming - Coming Storms Will Bring Out the Best and Worst in Humanity - 18th Apr 18
What Does it Take to Create Living Wage Jobs? - 18th Apr 18
Gold and Silver Buy Signals - 18th Apr 18
WINTER IS COMING - The Ongoing Fourth Turning Crisis Part2 - 18th Apr 18
A Stock Market Rally on Low Volume is NOT Bearish - 17th Apr 18
Three Gold Charts, One Big Gold Stocks Opportunity - 17th Apr 18
Crude Oil Price As Bullish as it Seems? - 17th Apr 18
A Good Time to Buy Facebook? - 17th Apr 18
THE Financial Crisis Acronym of 2008 is Sounding Another Alarm - 16th Apr 18
Bombs, Missiles and War – What to Expect Next from the Stock Market - 16th Apr 18
Global Debt Bubble Hits New All Time High – One Quadrillion Reasons To Buy Gold - 16th Apr 18
Will Bitcoin Ever Recover? - 16th Apr 18
Stock Market Futures Bounce, But Stopped at Trendline - 16th Apr 18
How To Profit As Oil Prices Explode - 16th Apr 18
Junior Mining Stocks are Close to Breaking Downtrend - 16th Apr 18
Look Inside a Caravan at UK Holiday Park for Summer 2018 - Hoseasons Cayton Bay Sea Side - 16th Apr 18
Stock Market More Weakness? How Much? - 15th Apr 18
Time for the Gold Bulls to Show their Mettle - 15th Apr 18
Trading Markets Amid Sound of Wars - 15th Apr 18
Sugar Commodity Buying Levels Analysis - 14th Apr 18
The Oil Trade May Be Coming Alive - 14th Apr 18
Big Cap US Stocks Fundamentals - 13th Apr 18
Jaguar Land Rover Cuts 1000 Jobs on Diesel Sales Slump, Long-term Discovery Sport Review - 13th Apr 18
Stock Market SPX May Tangle with the 50-day MA - 13th Apr 18
Longtanding Chinese War: Intrigue & Betrayal - 13th Apr 18
How I Own My Gold - 13th Apr 18
ISupply Energy Consumer Warning - Never Put Your Account Into Credit! - 13th Apr 18
SPX Resistance May Prompt A Massive Short Squeeze - 12th Apr 18
Stock Market High Volatility is Not Consistently Bearish for Stocks - 12th Apr 18

Market Oracle FREE Newsletter

Trading Lessons

Stock Market Indices Rally to Cut Huge Sell-Off in Half

Stock-Markets / Stock Markets 2016 Jan 21, 2016 - 01:39 PM GMT

By: Harry_Boxer

Stock-Markets

The stock market indices had a really interesting day today, which included a very sharp decline in the morning, getting the indices to an extremely negative tick of minus 1373, and the McClellan Oscillator to minus 200-plus. After reaching a level midday where the indices seemed to be washed out, they staged a very strong rally, taking the Nasdaq 100 from 3993 all the way up to 4180, a 187-point rally straight up with a 5-wave advance. The S&P 500, during that time, went from 1812 to 1878, a 66-point rally.


That was a very, very strong move for both of them, and then they backed off again in the last half hour on profit taking.

Net on the day, the Dow was down 249.28 at 15,766.74, about 316 points off its low. The S&P 500 was down 22.00 to 1859.33, 47 points off its low. The Nasdaq 100 was down 10.79 to 4136.28, 144 points off its low.

Advance-declines were less than 3 to 1 negative on New York Stock Exchange and 15 to 13 negative on Nasdaq, declines over advances. Up/down volume was less than 3 to 1 negative on New York, and a heavy 6.2 billion shares traded, one of the heaviest days I've ever seen. The Nasdaq traded 2 billion shares and had a 3 to 1 positive volume ratio.

TheTechTrader.com board was mixed, and there were plenty of gainers, although that did not include the Nasdaq Generals.

To the downside, Priceline Inc. (PCLN), 42 points off its low, was down 13.17 to 1081.33, Google Inc. (GOOG), 25 points off its low, down 3.34 to 698.45, Amazon.com Inc. (AMZN), closing 24 points off its low, down 2.71 to 571.77, and Netflix, Inc. (NFLX) down just 15 cents to 107.74.

Tesla Motors, Inc. (TSLA) lost 6.02 to 198.78, and Baidu, Inc. (BIDU) dropped another 1.04 to 2165.99. Facebook, Inc. (FB) fell 91 cents to 94.35.

To the upside, the negative oil ETF's did great. The ProShares UltraShort Bloomberg Crude Oil (SCO) reached 243.67 to new, all-time highs at one point, closing up 12.46 to 227.50. The Direxion Daily S&P Biotech Bull 3X ETF (LABU) jumped from 7.31 to 10.00, and closed not far off its high at6 9.55, up 1.09.

The biotech sector was strong today. NewLink Genetics Corporation (NLNK) was up popped 2.49 to 28.20 along with other fractional gainers in the biotech area.

If there's any kind of follow-through tomorrow, the key levels to watch are 4200 Nasdaq 100, which is declining topsline, lateral resistance, and 50-day moving average on the hourly charts. On the S&P 500 the same number comes in at 1900.

We have work to do, but a vicious rally off the bottom is indicative of something more than just a short-term low. We'll see if that's the case, and if there is a follow-through.

Good Trading!

Harry

For more of Harry Boxer, sign up for a FREE 15-Day Trial to his Real-Time Technical Trading Diary. Or sign up for a Free 30-Day Trial to his Top Charts of the Week service.

(c) 2016 AdviceTrade, Inc. All rights reserved. Distributed only by written permission of AdviceTrade and The Technical Trader at info@advicetrade.com . In using any portion of Harry Boxer's content, you agree to the terms and conditions governing the use of the service as described in our disclaimer at http://www.thetechtrader.com

Mr. Boxer's commentaries and index analysis represent his own opinions and should not be relied upon for purposes of effecting securities transactions or other investing strategies, nor should they be construed as an offer or solicitation of an offer to sell or buy any security. You should not interpret Mr. Boxer's opinions as constituting investment advice. Trades mentioned on the site are hypothetical, not actual, positions.

Harry Boxer Archive

© 2005-2018 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules